Alibaba Stock: Attractive Valuation Despite Mid-Term Headwinds Over the mid term, Alibaba’s (BABA) share price has had a habit of moving in step with earnings revisions but during the past 3 months, this relationship has weakened. During the period, Alibaba’s forecast for adj EPS in FY2024 has been cut by 4%, yet the share price has dropped by 34%. Moving forward, how can this be corrected? J.P. Morgan’s Alex Yao has an idea. The analyst believes “sentiment-driven fund flow is the current key share price driver and revenue recovery is the key determinant of market sentiment.” That is a bit of problem, then.